Crypto Market Loss Deepens: Over 60 Coins Plunge as Bear Market Worsens

Aug 07, 2024

Crypto Market Loss

Chaos engulfed the crypto sphere, with a widespread crypto market loss affecting over 60 different coins. This drastic downturn has left investors and enthusiasts questioning, “Why is the crypto market down today?” and “When will crypto recover?” The current crypto bear market has painted the charts red, signaling a period of uncertainty and concern.

Why is the Crypto Market Down Today?

On August 5th, 2024, the crypto market experienced a dramatic downturn, with over 60 major coins witnessing double-digit losses. Bitcoin, the world’s leading cryptocurrency, dipped below the crucial $53,000 mark, while Ethereum, the second-largest, plunged under $2,400. This sent shockwaves through the crypto community, raising concerns about a potential crypto bear market.

Behind the Crypto Market Loss

Several factors are believed to be contributing to the current crypto market loss. Here’s a breakdown of the key forces at play:

Hawkish Fed Policy: The U.S. Federal Reserve’s aggressive stance on interest rate hikes has injected a sense of fear into the broader financial markets, including crypto. Investors are pulling back from high-risk assets like cryptocurrencies in anticipation of a potential economic slowdown.

Mt. Gox Bitcoin Transfer Uncertainty: The recent transfer of a massive amount of Bitcoin from the defunct Mt. Gox exchange has added to the market nervousness. Speculation around the potential sale of these coins by Mt. Gox creditors could further depress prices.

Weakening Enthusiasm for Spot Bitcoin ETFs: The initial excitement surrounding Spot Bitcoin ETFs seems to be fading. Outflows from these investment options suggest that investors are becoming less optimistic about the short-term future of Bitcoin.

Liquidation Cascade: With prices dropping sharply, many traders with leveraged positions faced margin calls and forced liquidations. This further worsened the downward pressure on prices, creating a domino effect.

Cryptos in Red

The phrase “cryptos in red” rightly describes the current market scenario. The majority of cryptocurrencies are trading in the red, indicating widespread losses. This has sparked concerns about the future viability of many digital assets, especially those that are less established.

The most significant loss over the last seven days was mog coin (MOG), which plummeted by 50.15%. Other notable losers include dogwifhat (WIF), which was down 48.94%, and Dog Go to the Moon (DOG), which lost 48.56%. PENDLE, RAY, CKB, SUPER, SSV, ONDO, and BOME experienced losses ranging from 44.02% to 48.10%. PEPE, MEW, AR, JASMY, RUNE, and TURBO also endured double-digit losses this week.

When Will Crypto Recover?

Predicting the future of the crypto market is very difficult. However, some analysts believe the current downturn could be a temporary correction within a longer-term growth trajectory. Here are some factors that could influence the recovery timeline:

  • If the global economy avoids a significant recession, investor confidence in riskier assets like crypto could return sooner rather than later.
  • Clear and supportive regulations from governments could attract more institutional investors to the crypto space, potentially leading to a price upswing.
  • Continued innovation in blockchain technology and broader adoption of cryptocurrencies for real-world applications could propel the market forward.

However, it’s important to remember that the crypto market is still relatively young and prone to volatility. Investors should be prepared for further price swings before a sustained recovery takes hold.

The current crypto market loss is a stark reminder of the inherent volatility associated with digital coins, and any investor should be cautious and conduct thorough research before making any investment decisions. 

Subscribe Our Newsletter

Stock Market Predictions 2024: Inflation, Bond Auctions

Nato

Stock Market Predictions 2024: Inflation, Bond Auctions, and the Fed’s Policy Meeting

Stock market predictions 2024: Find out recent updates in the stock market amidst rising inflation, successful Treasury bond auctions, and the Federal Reserve's policy meeting.

Stock Market Forecast
Hong Kong's De Facto Central Bank, Proposes Regulating Fiat Currency-Backed Stablecoins With Rules Similar to Banks
Hong Kong’s De Facto Central Bank, Proposes Regulating Fiat Currency-Backed Stablecoins With Rules Similar to Banks

This contrasts with its long-held view that bitcoin, the world's largest cryptocurrency with a market capitalization of US$809 billion, is not a form of payment but only a "commodity."

Banks and Finance
Get the ultimate solution: B2BinPay Get the ultimate solution: B2BinPay
Sponsored
Liquidity Provider

What is a Liquidity Provider Fee?
Let's find out how do FX Liquidity Providers keep markets moving, what are Liquidity Provider fees and ways to charge them.

discover
Is IUL a Good Investment Strategy? — A Guide for Beginner Investors

Alexander

Is IUL a Good Investment Strategy? — A Guide for Beginner Investors

Funding retirement, saving for college tuition, and building wealth are important goals for many households. Investing in Indexed Universal Life (IUL) insurance can be a great way to help reach these objectives while also providing death benefit protection and tax advantages.

Investing
Contact us bg

Contact Us

Contact the Liquidity Provider
for any questions and advertising inquiries

    Please fill out this contact form to get in touch with us

    / 3000

    By clicking “Get in touch” button, you agree to the privacy policy

    Successful!
    Thank you for your request.
    We will contact you shortly.
    Close

    Alexander

    What Is an Interest Coverage Ratio? How to Use This Financial Metric to Evaluate Company Health

    Interest Coverage Ratio Explained

    Hazem

    After-Hours Trading: Can You Trade After Financial Markets Close?

    After-Hours Trading Explained

    Alexander

    How to Scale a Crypto Exchange Business and Stay Competitive

    how to scale crypto exchange business

    Constantine

    Crypto CrypticStreet Review: The Future of DeFi and Secure Crypto Trading

    Crypto CrypticStreet Review: The Future of DeFi and Secure Crypto Trading

    Alexander

    Bitcoin Power Law Explained: How It Shapes BTC’s Long-Term Growth

    Bitcoin Power Law Explained: How It Shapes BTC’s Long-Term Growth

    Hazem

    Megaphone Pattern​: What Is It? How to Use It In Trading

    Megaphone Pattern​: How to Read & Trade with It

    Constantine

    Top 5 Liquidity Bridge Providers in DeFi

    Top 5 Liquidity Bridge Providers in DeFi

    Hazem

    Max Funded IUL Explained: Is It a Legitimate Financial Strategy?

    Understanding Max Funded IUL

    Alexander

    Tax Refund Timeline: When Will You Get Your Tax Return?

    how long does it take for tax refund

    Constantine

    Crypto Liquidity — What is it, and How to Measure It?

    What is Crypto Liquidity and How to Measure It?

    Constantine

    AI in Finance: A Game-Changing Trend Shaping the Industry

    AI in Finance

    Hazem

    5 Ways to Make Money with ChatGPT and Build Your Wealth

    Make Money with ChatGPT

    Constantine

    Top AI Companies to Invest in April 2025

    Top AI Companies to Invest in March 2025

    DeepSeek vs ChatGPT: Which AI Technology is Better For You?

    DeepSeek vs ChatGPT: Feature-by-Feature AI Tool Comparison

    Constantine

    Top Solana Meme Coins in 2025: Best Presales and Where to Buy

    Solana Meme Coins 2025

    Alexander

    How Renewable Energy Stocks Can Supercharge Your Portfolio

    How Renewable Energy Stocks Supercharge Your Portfolio

    SEC Crypto Regulations: What Financial Advisors Need to Know

    SEC Crypto Regulations: Insights for Financial Advisors

    Hazem

    The Cup and Handle Pattern – How Trade Using This Bullish Indicator?

    Cup and Handle Pattern – How to Predict Price Breakouts?

    Hazem

    Year-Over-Year (YoY): What It Means? How It’s Used in Finance?

    Year-Over-Year (YoY): How to Calculate Business Performance?

    Constantine

    What is WAGMI and NGMI? Understanding Crypto Slangs

    WAGMI vs. NGMI

    Alexander

    Litecoin Mining Guide: How to Get Started in 2025?

    Litecoin Mining Guide: How to Get Started in 2025?

    Constantine

    What is Thruster (THRUST): An Advanced AMM for the Blast Ecosystem

    Thruster (THRUST): How Does it Revolutionise DeFi?

    Constantine

    How Does Polymarket Work? Detailed Guide

    How Does Polymarket Work? Comprehensive Guide

    Constantine

    Coinbase vs. Сoinbase Pro: Which Platform is Right for You?

    Coinbase vs. Coinbase Pro
    liquidity-provider-logo
    • News
      • Stock Market Forecast
      • Stocks
      • Banks and Finance
      • Companies
      • Crypto
      • Forex
      • AI
      • Technology
      • DeFi
      • NFT
    • Articles
      • Crypto Payments
      • Trading
      • Crypto Exchange Business
      • Forex Business
      • Fintech
      • Liquidity
      • FinTech Awards
      • Blockchain
      • Investing
      • NFT
      • DeFi
    • More
      • Videos
      • Liquidity Providers List
      • Crypto Payment Providers
      • White Label Brokerage Platforms
      • Broker CRM Platforms
    [email protected]

    © 2024 Liquidity Provider. All Rights Reserved

    Privacy Policy Cookie Policy
    This site is registered on wpml.org as a development site. Switch to a production site key to remove this banner.